Rivian cuts 2025 delivery target, ups expected spending amid tariff pressures

Core Viewpoint - Rivian Automotive is adjusting its 2025 vehicle delivery and capital spending targets due to the impact of global trade and economic conditions, while reaffirming its earnings expectations for the year [1][2]. Group 1: Adjustments to Targets - The new delivery guidance is set between 40,000 and 46,000 units, a decrease from the previous range of 46,000 to 51,000 units [3]. - Capital expenditures are now projected to be between $1.8 billion and $1.9 billion, an increase from the earlier guidance of $1.6 billion to $1.7 billion [3]. Group 2: Financial Performance - Rivian aims to achieve a "modest positive gross profit" this year, with expected losses of $1.7 billion to $1.9 billion on an adjusted basis before interest, taxes, depreciation, and amortization [4]. - In the first quarter, Rivian reported a loss per share of 41 cents, which was better than the expected loss of 76 cents, and revenue of $1.24 billion, exceeding the expected $1.01 billion [7]. Group 3: Joint Venture and Investment - The company is set to unlock $1 billion from Volkswagen Group as part of their joint venture, which was established under a $5.8 billion deal that includes funding for Rivian and VW utilizing Rivian's software and electrical architecture [4][5].